Options Flow Intelligence

Access: Pro
Path: /options-flow

Options Flow Intelligence provides real-time detection and analysis of significant options order flow, helping you identify institutional activity and smart money positioning. By monitoring consolidations like sweeps, blocks, splits, and golden sweeps, you can spot high-conviction trades before they move the market.

What is Options Flow?

Options flow refers to the real-time stream of options trades occurring in the market. Unlike simple volume data, flow analysis focuses on how orders are executed—specifically, whether large orders are filled urgently (sweeps), strategically (splits), or privately (blocks). These execution patterns reveal trader intent and urgency, often signaling institutional activity.

Why It Matters

Large institutional traders (hedge funds, market makers, high-net-worth individuals) often move markets when they establish positions. By detecting their order flow patterns early, you can:

• Follow smart money: Piggyback on trades from sophisticated traders
• Identify conviction: Urgent sweeps signal strong directional bets
• Spot unusual activity: Trades larger than open interest indicate new positioning
• Gauge sentiment: Aggressive call buying = bullish, put buying = bearish
• Find catalysts: Unusual flow often precedes earnings, M&A, or other events

Flow Types Explained

🔄 Sweeps

What: Large orders split across multiple exchanges to fill immediately at the best available prices.

Detection Criteria:

• Multiple trades with the same symbol
• Within 5-second window
• Executed on 2+ different exchanges
• Total premium typically > $100,000

Significance: Sweeps indicate urgency and conviction. The trader is willing to pay higher prices (by crossing multiple exchanges) to get filled immediately rather than waiting for better prices. This suggests:

• High confidence in directional move
• Time-sensitive information (e.g., catalyst imminent)
• Institutional scale (retail traders don't sweep)

Example:

12:30:15 - AAPL 175C (3/15) - 200 contracts @ $3.50 on CBOE
12:30:16 - AAPL 175C (3/15) - 150 contracts @ $3.52 on NYSE
12:30:17 - AAPL 175C (3/15) - 100 contracts @ $3.54 on PHLX
Total: 450 contracts, $157,500 premium → Classified as SWEEP

🧱 Blocks

What: Large trades executed as a single unit on one exchange, often negotiated privately off the public order book.

Detection Criteria:

• Single large trade or minimal clustering
• Executed on one exchange
• Size > 100 contracts (configurable)
• Total premium typically > $500,000
• May include dark pool condition codes (e.g., "SLFT" floor trade, "CBMO" complex)

Significance: Blocks indicate strategic, patient positioning. The trader prioritized anonymity and minimal market impact over speed. This suggests:

• Long-term positioning (weeks to months)
• Less urgency than sweeps
• Potentially hedging or institutional portfolio adjustment
• Dark pool blocks (floor trades, crossings) show sophisticated negotiation

Example:

14:22:10 - TSLA 220P (4/19) - 500 contracts @ $8.20 on NYSE
Condition: SLFT (Floor Trade)
Total: 500 contracts, $410,000 premium → Classified as BLOCK (Dark Pool)

✂️ Splits

What: Large orders broken into smaller chunks but executed on a single exchange over a short time.

Detection Criteria:

• Cluster of 3+ trades with same symbol
• Within 5-second window
• Executed on one exchange
• Total size > threshold (e.g., 200 contracts)

Significance: Splits show strategic execution without extreme urgency. The trader is working the order on one venue to minimize slippage but doesn't need instant fills. This suggests:

• Moderate conviction (less than sweeps)
• Price-conscious execution
• May be algorithms or retail aggregators

Example:

10:05:12 - SPY 460C (3/22) - 75 contracts @ $2.10 on CBOE
10:05:14 - SPY 460C (3/22) - 80 contracts @ $2.12 on CBOE
10:05:16 - SPY 460C (3/22) - 70 contracts @ $2.11 on CBOE
Total: 225 contracts, $47,475 premium → Classified as SPLIT

🌑 Dark Pool

What: Trades executed on private exchanges or alternative trading systems (ATS) away from public lit exchanges. These trades occur off the public order book and are only reported after execution.

Detection Criteria:

• Special condition codes indicating off-exchange execution:
  • SLFT (Floor Trade - negotiated on trading floor)
  • CBMO (Complex Trade - multi-leg strategy)
  • LATE (Late Report - delayed reporting)
  • CNOL (Contingent Trade)
• Executed through ATS/dark pool venues
• Often large size to warrant private negotiation
• Premium typically > $500,000

Significance: Dark pool trades indicate sophisticated institutional positioning with emphasis on:

• Anonymity: Hide order size and intent from public market
• Reduced Market Impact: Prevent front-running and adverse price movement
• Negotiated Pricing: Better execution for large orders
• Strategic Positioning: Long-term institutional allocation or hedging

Important: Dark pool flow is often part of complex strategies (spreads, collars, hedges) rather than simple directional bets. These trades represent institutional activity but require additional context to interpret directionality.

Example:

14:22:10 - TSLA 220P (4/19) - 500 contracts @ $8.20 on NYSE
Condition: SLFT (Floor Trade - Dark Pool)
Total: 500 contracts, $410,000 premium → Classified as DARK POOL BLOCK

⭐ Golden Sweeps

What: The most significant flow type—sweeps that meet additional criteria indicating extremely high conviction and potential for immediate price impact.

Detection Criteria (all must be met):

• Is a sweep (multi-exchange, urgent)
• Total premium > $100,000
• Total size > 10% of open interest (new positioning, not closing)
• Moneyness: Slightly OTM (0.15 < delta < 0.40) for leveraged upside
• Direction: Bullish (calls at/above ask) or bearish (puts at/below bid)

Significance: Golden sweeps are rare, high-conviction bets often associated with:

• Insider knowledge (legally obtained, e.g., sell-side analysts)
• Imminent catalysts (earnings beats, FDA approvals, M&A rumors)
• Major institutional repositioning
• Historical win rate: Golden sweeps have ~65-75% profitability within 1-5 days (per FlowAlgo data)

Example:

11:45:02 - NVDA 550C (3/29) - 300 contracts @ $12.50 on CBOE
11:45:03 - NVDA 550C (3/29) - 250 contracts @ $12.55 on NYSE
11:45:04 - NVDA 550C (3/29) - 200 contracts @ $12.60 on PHLX
Total: 750 contracts, $9,393,750 premium
Open Interest: 5,000 (750 = 15% of OI)
Delta: 0.35 (OTM call), Bid/Ask: AA (above ask)
Direction: Bullish → Classified as GOLDEN SWEEP ⭐

Understanding Flow Metrics

Core Data Fields

Each detected flow includes:

• Symbol: Underlying ticker (e.g., AAPL, SPY, TSLA)
• Underlying: Current stock price at time of detection
• Contract Details:
  • Expiration: Option expiration date (e.g., 2024-03-15)
  • Strike: Strike price (e.g., $175)
  • Type: Call (C) or Put (P)
• Trade Metrics:
  • Total Size: Number of contracts in the consolidation
  • Total Premium: Dollar value = (avg price × size × 100)
  • Avg Price: Average execution price across all trades
  • Trade Count: Number of individual trades in the cluster
• Execution Details:
  • Exchanges: List of exchanges used (e.g., CBOE, NYSE, PHLX)
  • First/Last Trade: Timestamp range of consolidation
• Analysis Metrics:
  • Open Interest: Existing OI at the strike (compare to size)
  • Volume: Total daily volume at the strike
  • Reference Price: Underlying stock price at detection time
  • Moneyness: ITM (in-the-money), ATM (at-the-money), or OTM (out-of-the-money)
  • Bid/Ask Indicator: A (at ask), AA (above ask), B (at bid), BB (below bid), M (mid)
  • Direction: Bullish or Bearish (derived from type + bid/ask)
  • Unusual: Flag for size > OI or premium > 5x avg daily premium

Interpreting Direction

Bullish Signals (expect upward move):

• Calls bought above ask (AA) or at ask (A) → Aggressive buying
• Puts sold below bid (BB) or at bid (B) → Willing to take on put-selling risk

Bearish Signals (expect downward move):

• Puts bought above ask (AA) or at ask (A) → Aggressive protection buying
• Calls sold below bid (BB) or at bid (B) → Unwinding long calls or bearish bet

Neutral/Unclear:

• Trades at mid (M) → May be spreads or hedges, not directional

Moneyness Strategy

• ITM (In-The-Money): Delta > 0.50

  • Lower leverage, higher probability of profit
  • Often used for hedging or conservative positioning
  • Less attractive for speculation

• ATM (At-The-Money): 0.45 < Delta < 0.55

  • Highest gamma (rapid delta changes)
  • Balanced risk/reward
  • Popular for short-term directional bets

• OTM (Out-The-Money): Delta < 0.45

  • High leverage, lower cost
  • Golden sweeps often target 0.15-0.40 delta (sweet spot)
  • Home run potential but lower probability

Unusual Activity Flag

A flow is flagged as unusual if:

• Size > Open Interest: New position larger than existing OI (e.g., 500 contracts traded, only 300 OI) → Someone is establishing a massive new bet
• Premium > 5x Daily Avg: Dollar value far exceeds typical activity (e.g., $2M premium when daily avg is $300k) → Institutional scale

Using the Options Flow Page

Interface Overview

The page features two modes:

1. Live Mode (Real-Time Streaming)

   • Connects to Server-Sent Events (SSE) stream
   • New flows appear at the top of the table instantly
   • Auto-scrolling disabled (manual scroll to review)
   • Buffer limit: 1,000 flows (prevents memory issues)
   • Status: "🟢 Live Streaming" when connected

2. Historical Mode (Date-Based Lookup)

   • Query past flow by specific date or date range
   • Navigate via calendar picker or Prev/Next buttons
   • Only weekdays (Mon-Fri) with available data shown
   • "Jump to Today" button returns to most recent data

Filter Panel

Basic Filters (always visible):

• Symbol: Filter by ticker(s)

  • Single: AAPL
  • Multiple: AAPL, TSLA, NVDA (comma-separated)
  • Leave blank for all symbols

• Flow Type: Select specific consolidation types

  • All Types (default)
  • Sweeps only
  • Golden Sweeps only
  • Blocks only
  • Splits only
  • Dark Pool only

• Min Premium: Dollar threshold (e.g., 100000 for $100k+)

  • Filters out small trades
  • Default: No minimum

• Min Size: Contract count threshold (e.g., 50 for 50+ contracts)

  • Focus on larger institutional trades
  • Default: No minimum

Advanced Filters (click "Advanced Filters" to expand):

• Moneyness: Filter by strike position

  • All (default)
  • ITM only
  • ATM only
  • OTM only

• Expiration Date: Target specific expiration (YYYY-MM-DD)

  • Example: 2024-03-15 for March 15 expiry
  • Leave blank for all expirations

• Unusual Only: Toggle to show only unusual activity (size > OI or premium > 5x avg)

• Date Range (Historical Mode only):

  • Start Date: Begin of query range
  • End Date: End of query range
  • Use calendar pickers (weekdays only)
  • Max range: 30 days per query (performance limit)

Flow Table

Columns (left to right):

1. Time: HH:MM:SS timestamp (local timezone)
2. Type: Badge indicating flow type (Sweep, Golden, Block, Split)
3. Symbol: Underlying ticker (clickable to filter)
4. Details: Contract info (Exp, Strike, Type)
5. Size: Number of contracts
6. Premium: Total dollar value ($)
7. Moneyness: ITM/ATM/OTM
8. Direction: Bullish/Bearish with indicator
9. Unusual: ⚠️ if flagged
10. Exchanges: Count of venues used

Color Coding:

• 🟢 Green badges: Bullish direction (calls bought, puts sold)
• 🔴 Red badges: Bearish direction (puts bought, calls sold)
• ⭐ Gold badges: Golden Sweeps
• ⚠️ Yellow icon: Unusual activity

Interactions:

• Click on symbol to auto-populate filter
• Hover over badges for tooltips with criteria
• Table is scrollable (sticky header)

Trading Strategies with Flow

1. Follow Golden Sweeps (Beginner)

Setup:

• Filter: Flow Type = "Golden Sweeps"
• Min Premium: $100,000
• Moneyness: OTM

Execution:

1. Monitor live stream for golden sweeps
2. When detected, check:
   • Direction (bullish/bearish)
   • Time to expiration (ideally 1-4 weeks)
   • Underlying price action (is stock already moving?)
3. If bullish sweep:
   • Buy same strike call (or closer to ATM for less risk)
   • Or buy stock if you prefer shares
4. Set stop loss: -20% on option premium or underlying at strike price
5. Take profit: +50-100% on options, or when flow reverses

Example:

Golden Sweep Detected:
AAPL 180C (3/29), 600 contracts, $1.2M premium
Direction: Bullish (AA - above ask)
Current AAPL: $175

Action: Buy AAPL 177.5C (3/29) for $4.50 (closer to ATM, safer)
Stop: Sell if AAPL drops below $173 or option at $3.60 (-20%)
Target: Sell at $9.00 (+100%) or if bearish flow appears

Win Rate: ~65% (based on backtests from flow services)

2. Fade Sweeps at Extremes (Intermediate)

Thesis: Sweeps at very high/low prices may mark temporary tops/bottoms as euphoria/fear peaks.

Setup:

• Filter: Flow Type = "Sweeps"
• Min Premium: $200,000
• Moneyness: Far OTM (delta < 0.20)

Execution:

1. Detect large bullish sweep in far OTM calls (e.g., SPY 480C when SPY = $450)
2. Check: Is SPY already +2% today? Is VIX spiking?
3. If yes (euphoria), fade by buying puts or selling call spreads
4. Conversely, large bearish sweeps in deep OTM puts at market lows → fade by buying calls

Risk: Contrarian strategy, requires confirmation (technical levels, sentiment)

3. Sweep Clusters = Breakout Confirmation (Advanced)

Thesis: Multiple sweeps in the same direction within 1 hour confirm breakout validity.

Setup:

• Historical Mode: Query last 2 hours
• Filter: Symbol = "SPY" (or your breakout stock)
• Flow Type: Sweeps or Golden

Execution:

1. Stock breaks resistance (e.g., SPY crosses $460)
2. Query flow for SPY in last 2 hours
3. If ≥3 bullish sweeps detected (calls at/above ask), breakout is real
4. Enter long position (calls or shares)
5. If no sweeps or bearish flow → false breakout, fade it

Example:

SPY breaks $460 at 10:30 AM
Flow Query (9:00-11:00):
- 10:15: SPY 462C sweep, $300k, Bullish
- 10:32: SPY 465C sweep, $450k, Bullish
- 10:48: SPY 463C golden, $1.2M, Bullish
→ Confirmation! Enter SPY 461C or buy shares

4. Block Trade Arbitrage (Expert)

Thesis: Large blocks (especially dark pool) often precede multi-day moves but take time to play out.

Setup:

• Filter: Flow Type = "Blocks"
• Min Premium: $500,000
• Unusual Only: Yes (size > OI)

Execution:

1. Detect large block (e.g., NVDA 600C, 1,000 contracts, dark pool)
2. Verify: Check if NVDA has upcoming catalyst (earnings in 2 weeks, GPU launch)
3. If yes, enter long-term position:
   • Buy LEAPs (6+ months out) or shares
   • Sell short-term OTM calls against it (covered call for income)
4. Hold for 1-3 months (blocks are patient positioning)

Risk: Requires patience, blocks don't move markets immediately

Best Practices

Timing

• Most Active Hours: 9:30-10:30 AM ET (market open), 2:00-4:00 PM ET (power hour)
• Avoid: First 5 minutes (noise), lunch hours (low volume)
• Golden Window: 15 minutes before major economic releases (e.g., FOMC, CPI)

Risk Management

• Position Size: 1-2% of capital per flow trade (they fail ~35% of the time)
• Stop Losses: Always set at -20% to -30% on premium
• Diversify: Don't chase every sweep; focus on high-quality setups (golden, unusual)
• Confirm: Use technical analysis (support/resistance), fundamentals (earnings), or other flow to validate

Avoiding False Signals

• Spreads: A sweep + opposite sweep (e.g., buy 180C + sell 185C) is a spread, not directional → Ignore
• Hedging: Large institutional portfolios hedge constantly → Single flow may not signal direction
• Algorithms: Some sweeps are programmatic rebalancing, not conviction → Look for unusual size/premium
• Check Volume: If flow is 10x normal volume, it's significant; if only 2x, may be noise

Combining with Other Tools

• Max Pain: If golden sweep targets strike near max pain, extra confidence (price may pin there)
• GEX: Sweeps targeting strikes above call walls = breakout attempt; below put walls = breakdown
• IV Smile: If sweep is in low-IV strike (anomaly), it's underpriced → higher edge
• Price Distribution: Sweeps targeting strikes outside 1 SD move = low probability (risky) vs. inside 1 SD (safer)

Common Questions

Q: How is this different from Unusual Options Activity?

Unusual Options Activity (UOA) is a broader metric that flags:

• Volume > X% of open interest
• Volume spike vs. 30-day average
• Large single trades

Options Flow is more sophisticated:

• Detects how orders are executed (sweep vs. block vs. split)
• Analyzes urgency (multi-exchange = urgent)
• Calculates consolidations (groups related trades)
• Focuses on institutional patterns (dark pool, size > OI)

Analogy: UOA is "high volume" → Flow is "smart money executing with conviction."

Q: Can retail traders use this, or is it only for institutions?

Retail-Friendly:

• You don't need to execute sweeps yourself (too expensive)
• Instead, follow detected sweeps by buying smaller positions
• Example: Institution sweeps $2M in AAPL 180C → You buy 5 contracts ($2,250) to ride the move

Institutional Edge:

• Flow data is near-real-time (1-5 second delay on live stream)
• Most retail platforms show volume with 15-minute delay
• Theta Vantage gives you the same data pros use (via Massive.com)

Q: What does Dark Pool mean and should I trade it?

What It Means:

• Dark pool trades are executed on private exchanges (ATS - Alternative Trading Systems)
• They provide anonymity and reduce market impact for large institutional orders
• Trades are reported to the consolidated tape after execution, but lack pre-trade transparency
• Common condition codes: SLFT (floor trade), CBMO (complex/multi-leg), LATE (delayed report)

How to Interpret:

• Dark pool flow indicates sophisticated institutional activity
• Often represents long-term positioning, hedging, or portfolio rebalancing
• Less likely to be directional bets compared to sweeps
• Frequently part of multi-leg strategies (spreads, collars) where only one leg is visible

Trading Approach:

• Caution: Don't treat dark pool trades as strong directional signals by default
• Context Required: Look for:
  • Clustering of multiple dark pool trades in same direction
  • Unusual size relative to open interest
  • Confirmation from other flow types (e.g., dark pool + sweep = stronger signal)
  • Upcoming catalysts (earnings, events) that justify large positioning
• Best Use: Track dark pool activity as a secondary indicator of institutional interest, not primary entry signal

Example:

Dark Pool Detected:
AAPL 180P (4/19), 800 contracts, $640k premium, SLFT condition

Without Context: Unclear if bearish hedge or spread leg
With Context: AAPL earnings in 2 weeks + 3 other bearish sweeps today
→ May indicate institutional protection buying (slightly bearish signal)

Q: Why do sweeps fail 35% of the time?

Reasons:

• Hedging: Institution may be hedging a stock position, not making a directional bet
• Spreads: What looks like a sweep may be part of a complex spread (neutral)
• Changed Thesis: Trader may exit early if news/data changes
• Wrong Side: You may enter too late (sweep at $3.50, you pay $4.00)
• Dark Pool Complexity: Dark pool trades are often multi-leg strategies, not simple bets

Mitigation: Use filters (golden only, unusual only) and confirm with other analysis.

Q: What's the best filter combination for beginners?

Recommended Starting Filters:

Flow Type: Golden Sweeps
Min Premium: $100,000
Min Size: 50
Moneyness: OTM
Unusual Only: Yes
Symbol: AAPL, MSFT, NVDA, TSLA, SPY (liquid names only)

This focuses on highest-quality, institutional-scale, directional bets in liquid stocks.

Q: How far back does historical data go?

Current Retention: 30 days of intraday flow data

Why Limited:

• Flow is high-frequency (millions of trades/day)
• Storage costs for full history are prohibitive
• Most flow signals are short-term (1-7 days)

Future: Pro+ tier may offer extended history (90 days) if demand warrants.

Technical Details

Data Source

• Provider: Massive.com (formerly Polygon.io)
• API: WebSocket for real-time, REST for historical
• Latency: < 1 second from trade execution to detection (live mode)
• Coverage: All US options exchanges (CBOE, NYSE, PHLX, AMEX, etc.)

Detection Algorithm

1. Ingestion: Trades arrive via WebSocket with fields (symbol, price, size, exchange, conditions, timestamp)
2. Clustering: Buffer trades in 5-second sliding windows by symbol
3. Consolidation Detection:
   • Count unique exchanges → 1 = block/split, 2+ = sweep
   • Sum size and premium
   • Check condition codes for dark pool flags
4. Golden Sweep Scoring:
   • Fetch snapshot (OI, underlying price)
   • Calculate moneyness (ITM/ATM/OTM)
   • Derive bid/ask indicator from price vs. quote
   • Determine direction (bullish/bearish)
   • Apply thresholds (premium > $100k, size > 10% OI, delta 0.15-0.40)
5. Publishing: Detected flows → Redis pub/sub → Gateway SSE → Frontend

Performance

• Real-Time Throughput: Handles 10,000+ trades/minute
• Buffer Limit: 1,000 flows in live mode (auto-trims oldest)
• Historical Query: Max 30-day range, paginated (1,000 results/page)
• Database: MySQL with indexes on (symbol, timestamp, flow_type)

Upgrade to Access

Options Flow Intelligence is a Pro Feature.

What You Get:

• Real-time SSE streaming of all flow types
• Historical queries up to 30 days
• Full filter suite (symbol, type, premium, size, moneyness, unusual)
• Unlimited queries (no rate limits)

Pricing: $29.99/month or $249/year (save 30%)

Upgrade to Pro →

Questions or feedback? Join our Discord community or email [email protected].

Ready to start tracking institutional flow? Head to the Options Flow page and apply your first filters.